Rail shippers in Southern Oregon and Northern California are getting the news they have been fearing.
Central Oregon and Pacific will begin rerouting rail traffic off the Siskiyou Line starting January 15th.
A letter from CORP spokesman Tom Hawksworth refers to the change as a ‘reroute’ that will actually benefit shippers in the end.
But those shippers are apparently not buying it.
Roseburg Forest Products CEO Allyn Ford calls it ‘a grave situation’ that is a clear step toward an eventual closure of the line between Ashland and Weed. Douglas Timber Operators Executive Director Bob Ragon calls the change a ‘shutdown’ that will continue to harm shippers in Southern Oregon. Both men fear the long term impact rail changes will have on manufacturing, the timber industry and jobs in Southern Oregon.
Hawksworth’s letter starts by telling shippers, ‘CORP has a business problem. We lose money operating over the Siskiyou Subdivision.’
Hawksworth’s letter says all traffic from the Oregon/California border will be interchanged in Eugene starting on the 15th.
Traffic moving south from the border starting at Hornbrook, will continue south to connect with the Union Pacific interchange in Weed.
Hawksworth’s letter tells shippers that they will not see a change in their rates and will not be charged if their cars travel further than they do today. The change will reduce most of the tonnage moving over the Siskiyou subdivision.
But that news is not comforting to Ragon and Ford.
Ragon says the value of products produced in the area will be affected by the increase in the amount of time it will take to reach the southwest US.
Ford says he has a hard time believing rates will stay the same.
And both men are still anrgy over the lack of communication CORP and Rail America are allowing with stakeholders from the state of Oregon to shippers on the coast.
When reached for comment this morning, Hawksworth said the Siskiyou changes are totally different than the sudden embargo on the Coos Bay Line.
He also said the amount of rail traffic through Roseburg will not double as previously reported by some angry shippers. Rather, the 100 cars that come through Roseburg will only increase by about 30.
He referred further questions to CORP’s parent company, Rail America.